The Land Transportation Franchising and Regulatory Board (LTFRB) on Friday mentioned operators of public utility autos (PUVs) are free to decide on their insurance coverage suppliers.
In an announcement, LTFRB Chairman Teofilo Guadiz III mentioned that the regulator will strictly comply with the provisions of the Department of Transportation (DOTr) Department Order (DO) 2018-020 or the Revised Guidelines on Mandatory Insurance Policies for Motor Vehicles and Personal Passenger Accident Insurance (PPAI) for Public Utility Vehicles.
Guadiz cited Section 3 of DO 2018-020, which states, “applicants are free to choose and secure the Insurance Policies from any of the Qualified Insurers and all insurance premiums shall be strictly paid in the offices or authorized collection sites of the Qualified Insurers.”
“For Personal Passenger Accident Insurance (PPAI), the instruction is to accept a policy from insurance providers duly accredited by the Insurance Commission. As regards Third-Party Liability (TPL) insurance policy, operators are free to choose and secure the same from any insurance company accredited by the Insurance Commission,” the LTFRB chair mentioned.
Guadiz additionally clarified that the LTFRB isn’t seeking to enhance the variety of gamers or selections of insurance coverage corporations that PUV registrants can select from.
He mentioned the facility to accredit new insurance coverage gamers lies solely on the Insurance Commission. — DVM, GMA Integrated News
Source: www.gmanetwork.com
